Finance

Buying a new car is always a thrilling experience. What makes it more attractive is that it is relatively easy as compared to earlier times, thanks to the various car loan schemes offered by different banks and financial institutions.

A new car would always be a prized possession but it is an expensive possession too, more so if it has been purchased through a financing scheme. The age-old adage that “knowledge is powerful than money” holds good here than anywhere else to make informed financial decisions with some research done on a few factors like the car loan interest rates, the minimum processing fees etc., which would help in getting the best out of your finance.

With financing company representatives generally available inside the car dealer’s showrooms, getting a loan for financing your car purchase may seem relatively a cake walk. But what you need to understand is that a debt-is-a-debt-is-a-debt, and hence a better understanding of the car loan options will help you in saving more on your debt.

As per a recent study, 97% of the affluent investors said that it was important to invest a portion of their wealth in Fixed Income instruments.

Interest is what interests us when it comes to investment of our hard earned money.

All other factors aside, it’s the rate of interest that you earn on the investments which is the major deciding factor on where your money stays.

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While Fixed deposits haven’t been a chosen investment option since the last few years with interest rates facing a downward spiral. The cyclical nature of the interest rates ensures that they cannot remain stagnant for a long period of time.

While costs have been steadily scaling impressive peaks, falling interest rates have left little cheer for those who are dependent on income from these fixed deposits. The regular reduction in the basis points by the Reserve Bank of India (RBI) over these years has only meant that their income has slid by an alarming 25-35% over the last two-three years.

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With Bank interest rates hovering between six to seven per cent for different tenures of deposits, the silver lining is that it provides us to look at opportunities to invest our money at assured high yields over a much longer period of time.

Yeah, you heard it right! It is time to shift your money lying in fixed deposits with Banks to a much better option which will benefit you from the continuous fall in interest rates. It is time you shift your capital to an avenue which gives you over 8 per cent returns, thus providing you that huge capital appreciation. Isn’t this scenario any time better than a bank deposit?

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The current interest rate scenario offers us an option to lock in our money for longer haul at higher interest rates. Though a safe investment option, from the taxation point of view, fixed deposits are suitable only for people in the lower tax bracket and would not be an attractive option for those in the higher tax bracket.

In this falling interest rate scenario, we may look at Government securities and/or Gilt funds. Gilt funds generally invest in Government securities that have high average maturity periods and thus remain relatively insensitive to the reducing interest rates.

All said and done, with FD interest rates falling, rising NPAs raising question marks on the Banks’ ratings, PPF investments being very low on liquidity and restricting the quantum of annual investment, RBI bonds offering a slightly higher interest, but taxable and not being eligible as collateral, it is time there comes a definite viable alternative.

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So how does one lock in interest rates for the long run?

The real good Din is not too far as an amazing fund is to be launched soon which would invest predominantly in long-dated Government securities, securing the prevailing interest rate for the entire maturity period of 25-30 years.

Reliance Mutual Fund is soon launching Nivesh Lakshya with an investment horizon of 25-30 years with no lock-in period but with certainty of returns, if the investment is held till maturity of the underlying papers, without compromising on liquidity.

This fund is targeted mainly at High Networth Individuals (HNIs) who have the benefit of preserving their wealth through investment in Government securities, by locking in their funds in a good interest rate for 25-30 years.

The fund is also useful for those who have retired from their jobs and are looking towards securing a good interest rate for their long-term income generation needs to tide them through their old-age.

Parents and grandparents can also take the benefit of this fund to create a legacy for their children and/or grandchildren by locking in their funds in good interest rates for 25-30 years through Government securities.

Apart from the facility of regular withdrawal, this would be a product which will be tax-efficient too, with indexation benefit available for long term capital gains.

It’s time to grab the opportunity to capture the current interest rate for the long term and you can do it in just three simple steps by logging in here.

This fund provides you an assured rate of interest of 8.13% apart from the indexation benefits from the Income Tax point of view as mentioned above. The no lock-in facility ensures monthly withdrawal facility available for retirees. In a nutshell, all the important features are covered in just one fund.

Stay connected to my blog to be the first few to know further details and take advantage of this revolutionary fund which opens on the 18th June 2018.

It is not uncommon for Auditors of Companies to resign in between an audit. It is not uncommon too for them to resign just days or weeks before the finalisation of the annual accounts.

But when these incidents suddenly start happening in frequent regularity, it is certainly uncommon.

The resignation of the top auditors from some listed companies just days before signing off on the annual accounts has been in top news since some time. It is not just Manpasand Beverages or Vakrangee or Atlanta which are hogging the headlines, some reliable database has shared that since the beginning of this calendar year, more than 30 audit firms have resigned as auditors of companies, midterm.

These news-makers haven’t been reflecting good signs on the share prices of these Companies which have been plummeting down, losing money for the investors and shareholders.